Chart GBP/USD Update: Consolidating
Consolidation following the test of resistance at the 1.3485 Fibonacci retracement has given way to a break below 1.3450
| Level | Comment | Level | Comment | |||||
|---|---|---|---|---|---|---|---|---|
| R4 | 1.3560 | ** | 50% ret of Jan-Mar fall | S1 | 1.3400 | ** | congestion | |
| R3 | 1.3500 | ** | congestion | S2 | 1.3300 | * | congestion | |
| R2 | 1.3485 | * | 38.2% ret of Jan-Mar fall | S3 | 1.3287 | * | 9 Dec (w) low | |
| R1 | 1.3450 | ** | congestion | S4 | 1.3253 | ** | 3 Mar (w) low |
Asterisk denotes strength of level
08:10 GMT - Consolidation following the test of resistance at the 1.3485 Fibonacci retracement has given way to a break below 1.3450, with mixed intraday studies prompting consolidation within the 1.3400 - 1.3450 range. Daily readings continue to track higher, suggesting potential for a test back above 1.3450 towards 1.3485 and congestion around 1.3500. But negative weekly charts should limit any further gains in profit-taking/consolidation beneath the 1.3560 retracement. Meanwhile, a break below congestion support at 1.3400 will open up the 1.3287 weekly low of 9 December and further congestion around 1.3300. This range should underpin any initial tests.